Saturday, October 27, 2012

Pig Lips

Greetings good citizen,

If you thought the wheels were ready to come flying off this rickety old broken down economy wouldn’t you step up the spending to prepare for a time when you couldn’t spend even if you wanted to?

Worse, wouldn’t the nincompoops who monitor and misdiagnose the economy all of the time say it was something stupid like the consumer is through deleveraging’…so now we can all take on more debt and everything will be just marvelous…(until we find ourselves overextended again!)
For the first time since the Great Recession hit, American households are taking on more debt than they are shedding, an epochal shift that might augur a more resilient recovery.

Many American households had cut back spending on cars, food and other goods.

For two of the last three quarters, American households’ total outstanding borrowing on things like credit cards, mortgages and auto loans has increased after falling for 14 consecutive quarters before then. Some economists even see an end to the long, hard process of deleveraging — as they refer to the cutting of debt relative to income or the nation’s economic output. That process, they say, has been a central reason for the extraordinary sluggishness of the recovery.

“We’re at an inflection point,” said Kevin Logan, the chief United States economist for HSBC. “Debt is less of a burden” for households, he said.

Closely watched economic figures released Friday underscore households’ nascent sense of strength. Despite tepid growth and still-high unemployment, consumer confidence has soared to a five-year high, according to a survey by Thomson Reuters and the University of Michigan. And economic growth numbers for the third quarter showed household spending picking up pace as well.

Let’s look at the facts for a moment good citizen, prices are rising and nobody is getting pay increases…add the push to the shove of a family has to live and you’ve got ‘increased debt!’.

Now wait a minute, numbnuts SAYS people are taking on debt to finance things they were doing without…like transportation.

You know ‘wheels under your ass’ is part of the equation that makes up the debt cycle, right?

You get a job so you can have the things you need to live. If you can’t get to the job you don’t get paid and a whole avalanche of bad things happen. So spending money on cars is considered a necessity (despite being charged an ‘excise tax’…which translates directly into a ‘luxury tax’ because the butt-head capitalist thinks you don’t NEED a car to get to work!

You COULD ride a horse!

Now, almost nobody rides horses as ‘basic transportation’ these days yet everybody gets charged excise tax on their automobile as if they did (or could if they wanted to.)

Just another example of the flawed thinking that has led to the mismanagement of our civilization.

You know, the capitalists do get ONE THING RIGHT…it is the assertion of ‘how can we expect you to do the big things right when you can’t manage to do the little things correctly?’

Which is to opine that we have overwhelming evidence of their incompetence…what’s taking so long putting corrective action in place?

And you’d (rightly) ask ‘What corrective action?’ Belaboring the obvious fact that nothing is being done to correct the imbalances throughout our civilization so nothing is ‘getting better’ regardless of what these scatter-brains say!

So what about you, good citizen? Do YOU think the tapped out US consumer is ‘on the mend?’

And would your belief do anything to affect reality?

Short answer, no.

How long would you continue to ‘believe’ while the situation continues to go ‘downhill’? As poverty rises and desperation becomes widespread would you allow yourself to be ‘deluded’ by those paid to lie to you?

As this train wreck progresses we are increasingly going to see pigs wearing so much lipstick you won’t be able to tell what the hell they are.

And THAT will be pointed to as more evidence of the non-existent recovery!

Um, enough is enough and it’s time to put this post to bed.

You deserve a break,

Thanks for letting me inside your head,


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